Interstate Bakeries Corp.'s largest investor sued the bankrupt maker of Hostess Twinkies and Wonder Bread, seeking to force an annual meeting to elect directors.
Interstate violated company bylaws by not holding an annual stockholder meeting in 13 months, investor Brencourt Advisors LLC said in a complaint filed Oct. 30 in Delaware Chancery Court in Wilmington. Brencourt asked a judge to order the meeting.
"The terms of all directors of IBC expired on Oct. 26" and as many as "nine new directors must be elected," Brencourt said in court documents. New York-based Brencourt held 8.6 percent of Interstate's outstanding shares as of July, according to data compiled by Bloomberg.
Maya Pogoda, a spokeswoman with public relations firm Sitrick & Co., said Interstate, based in Kansas City, Mo., "is reviewing the complaint and will respond appropriately in due course."
Interstate, which has operations in Salt Lake City and Ogden, sought Chapter 11 bankruptcy protection in 2004 as diet trends changed and costs mounted for pensions and fuel.
The company has said it may fire more than 10 percent of its work force during its reorganization. Interstate had about 29,000 employees, $3.4 billion in sales and a $379.2 million net loss for the fiscal year ended in May 2005.
Interstate's 2004 filing in U.S. Bankruptcy Court in Kansas City listed $1.63 billion in assets and $1.32 billion in debts.